(For a Reuters live blog on U.S., UK and European stock

markets, click or type LIVE/ in a news window.)

*

GameStop ( GME ) faces 'unsustainable' sales decline, shares slide

*

Merck ( MRK ) up after FDA approves therapy for rare lung

condition

*

Megacap growth stocks, chipmakers recover

*

Futures up: Dow 0.42%, S&P 0.42%, Nasdaq 0.47%

(Updated at 07:00 a.m. ET/ 1100 GMT)

By Shashwat Chauhan and Bansari Mayur Kamdar

March 27 (Reuters) - U.S. stock index futures inched

higher on Wednesday as chipmakers and market-leading growth

stocks rebounded in light trading ahead of crucial economic

data, commentary from the Federal Reserve's policymakers and a

long holiday weekend.

The Dow and the S&P 500 recorded their third

consecutive declines on Tuesday, as most megacaps were pressured

and stocks struggled to maintain an upwards momentum.

Investors look forward to comments from Fed Board Governor

Christopher Waller, who is set to speak at the Economic Club of

New York later in the day.

"Waller is generally considered a hawk, so it will be

interesting to see how he reacts to the latest data releases,"

said Francesco Pesole, an FX strategist at ING.

"When it comes to Fed pricing, we doubt expectations for the

June meeting will change much this week, unless we see a

surprise in Friday's PCE (Personal Consumption Expenditures)."

The PCE price index, the Fed's preferred inflation gauge, is

due on Friday, when the U.S. stock market will be closed for

Good Friday. An upside surprise to inflation could potentially

dampen market enthusiasm around early rate cuts.

Also on tap this week is the final fourth-quarter GDP print,

the University of Michigan's reading of consumer sentiment and

weekly jobless claims data.

All three major U.S. stock indexes eye quarterly gains as an

artificial intelligence-inspired rally helped Wall Street reach

record highs recently and optimism about the Fed cutting

borrowing costs later in the year added to gains.

Traders see a 70% chance the Fed will begin its easing cycle

in June, according to the CME FedWatch tool.

At 07:00 a.m. ET, Dow e-minis were up 167 points,

or 0.42%, S&P 500 e-minis were up 22.25 points, or

0.42%, and Nasdaq 100 e-minis were up 86 points, or

0.47%.

Most megacap growth stocks rose in trading before the bell,

with Tesla and AI-giant Nvidia ( NVDA ) adding 0.8%

each.

Micron Technology ( MU ) advanced 0.9% and was on track to

extending its gains for the ninth straight session on AI

optimism.

Merck & Co ( MRK ) gained 4.8% after the U.S. Food and Drug

Administration approved its therapy for adults with high blood

pressure due to constriction of lung arteries.

Trump Media & Technology Group ( DJT ) jumped 13.1%, a day

after its stellar Nasdaq debut.

Robinhood Markets ( HOOD ) climbed 6.8% after the online

trading app launched a new credit card.

GameStop ( GME ) dropped 18.0% after the videogame retailer

reported lower fourth-quarter revenue and said it had cut an

unspecified number of jobs to reduce costs.